Islamic banks differ significantly in that they typically mobilise funds in the form of Profit Sharing Investments Accounts that are remunerated on the basis of sharing the actual returns on assets financed by the investment funds, with the Investment Account Holders. In theory, the profits are...

Our objective consists to study a specific risk called the displaced commercial risk (DCR) that results from the management of PSIA funds.This risk is peculiar to Islamic banks and is considered as a new risk in the banking risk literature. Our aim is to identify and assess the DCR. We develop...